The End of the HR World

 -  1/23/12

HR must change dramatically if it is to evolve from transaction processer to strategic decision-making facilitator.

Based on the idea that the Mayan Long Count calendar ends Dec. 21, 2012, “experts” around the globe are predicting cataclysmic events for the end of the year. From rogue planets to massive sun storms, many are convinced the Mayans accurately predicted the end of the world.

Perhaps the Mayans were predicting something much more ominous for 2012: the end of the HR world as we know it. For the past decade, there has been a steady effort to transform the HR department from paper pusher to strategic business partner. Recently, this push has been accelerated by a shortage of critical skills, recognition that the workforce must be aligned with business objectives and rapid developments in HR technology.

The following trends may not spell the demise of the HR department, but they do indicate long-awaited changes for HR and enabling technology in 2012.

Trend No. 1: HR rebranding: The term human resources is becoming obsolete for many reasons. The label human capital illustrates that a resource is used, but capital is something invested that creates value. HR has long been classified as a department as well as a function with specific, narrow, mostly tactical responsibilities. HR needs a new brand.

If HR is to become a steward of workforce performance it needs to break the shackles of its image and create a different position. The isolated processes on which HR built its structure do not meet today’s diverse workforce needs or those for the intelligence-hungry, global organizations they serve. Along with technology vendors, HR is beginning to align teams, processes and applications in ways that reflect a new value to their employees and companies or customers. As a result, those in traditional HR roles have new responsibilities (Figure 1).

Forecast: As HR continues to rebrand, traditional silos such as recruiting, performance, learning and development, succession and compensation will morph into new functions. Some recent titles and those expected in 2012 include:

Article Keywords:   strategy   HR  


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